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Analyzing the recent outcomes of community benefits agreements in relation to their monitoring and enforcement provisions

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Title:
Analyzing the recent outcomes of community benefits agreements in relation to their monitoring and enforcement provisions
Creator:
Leach, Nicholas James ( author )
Place of Publication:
Denver, Colo.
Publisher:
University of Colorado Denver
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Language:
English
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1 electronic file (65 pages) : ;

Thesis/Dissertation Information

Degree:
Master's ( Master of urban and regional planning)
Degree Grantor:
University of Colorado Denver
Degree Divisions:
College of Architecture and Planning, CU Denver
Degree Disciplines:
Urban and regional planning

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Subjects / Keywords:
Community development, Urban ( lcsh )
Community development, Urban ( fast )
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bibliography ( marcgt )
theses ( marcgt )
non-fiction ( marcgt )

Notes

Review:
This thesis delves into the topic of Community Benefits Agreements or CBAs, legally binding documents agreed upon between parties before development occurs, which enumerate the aspects of the development that are of benefit to the community. The thesis describes in detail what constitutes a CBA, provides case study examples of CBAs currently in effect, and focuses on the details of the monitoring and enforcement aspects of the agreements. By connecting the key monitoring and enforcement provisions outlined within each CBA to the outcomes of the development, the thesis identifies the best practices for ensuring that CBAs are an effective tool.
Bibliography:
Includes bibliographical references.
System Details:
System requirements: Adobe Reader.
Statement of Responsibility:
by Nicholas James Leach.

Record Information

Source Institution:
University of Colorado Denver Collections
Holding Location:
Auraria Library
Rights Management:
All applicable rights reserved by the source institution and holding location.
Resource Identifier:
982958563 ( OCLC )
ocn982958563
Classification:
LD1193.A78 2016m L44 ( lcc )

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Full Text
ANALYZING THE RECENT OUTCOMES OF COMMUNITY BENEFITS
AGREEMENTS IN RELATION TO THEIR MONITORING AND ENFORCEMENT
PROVISIONS
by
NICHOLAS JAMES LEACH B.A., University of Minnesota, Twin Cities, 2013
A thesis submitted to the Faculty of the Graduate School of the University of Colorado in partial fulfillment of the requirements for the degree of Masters of Urban and Regional Planning Urban and Regional Planning Program
2016


2016
NICHOLAS JAMES LEACH
ALL RIGHTS RESERVED


This thesis for the Master of Urban and Regional Planning degree by
Nicholas James Leach has been approved for the Urban and Regional Planning Program by
Jennifer Steffel Johnson, Chair Carrie Makarewicz Kenneth Schroeppel
April, 29th 2016


Leach, Nicholas James MURP College of Architecture and Planning
Analyzing the Recent Outcomes of Community Benefits Agreements in Relation to Their Monitoring and Enforcement Provisions
Thesis directed by Clinical Assistant Professor Jennifer Steffel Johnson
ABSTRACT
This thesis delves into the topic of Community Benefits Agreements or CBAs, legally binding documents agreed upon between parties before development occurs, which enumerate the aspects of the development that are of benefit to the community. The thesis describes in detail what constitutes a CBA, provides case study examples of CBAs currently in effect, and focuses on the details of the monitoring and enforcement aspects of the agreements. By connecting the key monitoring and enforcement provisions outlined within each CBA to the outcomes of the development, the thesis identifies the best practices for ensuring that CBAs are an effective tool.
The form and content of this abstract are approved. I recommend its publication.
Approved: Jennifer Steffel Johnson
IV


TABLE OF CONTENTS
CHAPTER
I. INTRODUCTION..................................................1
What is a Community Benefits Agreement?........................1
Description of Community Benefits Agreements.............1
The CBA Coalition........................................3
Examples of Common CBA Benefits..........................4
The Language of a CBA....................................4
What Variables Impact the Effectiveness of Community Benefits
Agreements?....................................................5
Why are Community Benefits Agreements Important for Urban Planning?.7
II. LITERARY REVIEW...............................................8
Private versus Public CBAs.....................................8
Research Surrounding Monitoring and Enforcement of CBAs........9
Case Study Research...........................................11
III. METHODOLOGY.................................................13
Process.......................................................13
Analysis......................................................14
Methodology Conclusion......................................18
IV. CASE STUDY RESEARCH..........................................19
L.A. Live Center CBA..........................................19
Background..............................................19
CBA Process and the Outcomes............................20
v


Relation to Monitoring and Enforcement......................24
One Hill CBA......................................................26
Background..................................................26
CBA Process and the Outcomes................................28
Relation to Monitoring and Enforcement......................30
Ballpark Village CBA..............................................31
Background..................................................31
CBA Process and the Outcomes................................32
Relation to Monitoring and Enforcement......................34
Gates Cherokee CBA..............................................35
Background..................................................35
CBA Process and the Outcomes................................36
Relation to Monitoring and Enforcement......................38
IV. CASE STUDY ANALYSIS..............................................40
Within-Case Analysis..............................................40
L.A. Live Case Study........................................41
One Hill Case Study.........................................42
Ballpark Village Case Study.................................43
Cherokee Gates Case Study.................................44
Cross-Case Comparison.............................................46
Public versus Private.......................................47
Knowledgeable Local Resources and Continual Support.........48
Other Monitoring and Enforcement Opportunities..............50
vi


V. CONCLUSION AND RECOMMENDATIONS..................51
REFERENCES...........................................55
VII


CHAPTER I
INTRODUCTION
What Is a Community Benefits Agreement?
Each communitys urban fabric and environment are unique. However, a common characteristic across communities is resident concern surrounding social and economic relations pertaining to their neighborhood. Developers and city planners, along with the ever fluctuating real estate market, have shaped our cities and environments in a number of ways and the outcomes have been seen as both positive and negative. Many communities rely on the public hearing processes of their municipalities to weigh in on proposed developments, but for some of the more active communities, this process is too passive.
Official development processes typically take into consideration the opinions of community residents, usually with hopes of avoiding negative consequences resulting from the proposed development. However, listening to residents concerns and acting on them are two different things. Communities who would like to ensure that their concerns are taken into consideration, and who hope to directly benefit from major development projects in their vicinity, may consider pursuing a Community Benefits Agreement.
Description of Community Benefits Agreements
Community Benefits Agreements, or CBAs, are a kind of agreement made between developers and community groups, sometimes along with a public entity, when a major new development is proposed. The agreement is sought to bring forth benefits to the neighborhoods that are adjacent to the proposed development, in
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return for the communitys support of the proposed development project. The CBA is a tool for communities to leverage their wants and needs with developers who seek to develop in their neighborhoods. The benefits in an agreement can range from smaller site-specific local needs, to larger infrastructural projects, to financial contributions for social programs. The benefits are aimed to help residents and local businesses flourish alongside new development projects.
CBAs are typically undertaken for one of two reasons: the development project is receiving public subsidies, and/or the project is of immense size. Large-scale developments, such as stadiums, may pose substantial impacts on a community and residents desire to address many issues, from traffic noise and pollution levels to unforeseen disturbances with land values and business activity, can trigger the pursuit of a CBA with the developer of the project.
A CBA is either a public or private legally binding document resulting from a negotiation process over what benefits will be included into the agreement in exchange for community support. According to one of the forerunners in CBA practice and research, Julian Gross (2007), public CBAs are typically between the developer and a public governmental entity. Private CBAs are between the developer and community groups which are usually represented together as a coalition. Public CBAs also have community coalition support and involvement in identifying the specific benefits needed, but public and private CBAs are contractually different from one another. Whereas a private CBA involves primarily the developer and the community coalition, a public CBA is contractually tied into the projects development agreement between the developer and the administering
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public governmental entity. Gross (2007) explains that public CBAs are often more enforceable, as governmental entities usually oversee the terms within development agreements. However, he also points out that public entities may not always provide the most adequate enforcement, which can lead to problems.
The CBA Coalition
The community groups that make up the CBA coalition can originate from many different fields, professions, and interest groups that combine to create a broad-based coalition. Broad-based coalitions are essential for providing inclusivity, especially when negotiating for possible benefits. The inclusion of many groups into a broad-based CBA coalition can allow for a larger range and variety of benefits to be negotiated and agreed upon. Moreover, in order for a developer to feel that negotiating with the group is worthwhile, it is essential that the coalition be broad enough to truly represent the community.
Local organizations can be great support tools for CBA coalitions, especially if they can offer services such as legal aid to draft the agreement. Local organizations that have the capacity and expertise can influence CBA coalitions by becoming members. In some cases, local support organizations will sign the CBA document along with the other active parties.
Knowledgeable local organizations can also help with issues after signing; they may provide administrative support helping to implement any programmatic terms in the CBA, and additional legal and administrative support to help monitor, report on, and work to implement the provision of benefits. Local organizations choosing to take part in the process usually have members in the coalition, who
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therefore take part in the negotiations for the benefits to be included and the signing of the CBA document. Creating a broad-based coalition and welcoming the aid from resourceful organizations can help coalitions with the arduous task of implementing the CBA. For example, coalitions who have access to organizations that have the capacity to monitor possible existing city-wide hiring and wage programs can help relieve the CBA coalition from performing this measure.
Examples of Common CBA Benefits
The benefits included in a CBA stem from multiple interests depending on the coalitions negotiation strategies and interests, and the communitys needs. Examples of some of the benefits a CBA can incorporate include affordable housing standards, living wages for construction laborers and/ or retail workers (if that use is to be included in the development), or funding towards public parks and recreation facilities. Developers can also be asked to provide funding for neighborhood-based resource centers and programs such as local hiring and job training. Contributions toward community-specific infrastructure such as day care centers, health care facilities, and public pedestrian bridges are benefits that can be tied into the terms of a CBA. It is common for CBAs to layout the benefits and their specific agreements regarding location, cost, delivery time line, hiring targets, wage levels, etc. into organized terms within document.
The Language of a CBA
Community Benefits Agreements include language outlining each benefit that is guaranteed to be generated by the development. CBAs also include definitions of key words, responsibilities of the developer (the benefits), responsibilities of the
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coalition, responsibilities of the implementation or monitoring committee (if one is included), as well as the legal procedures available to enforce the agreement. An important aspect surrounding this element of a CBA is that in order for it to be enforceable by a certain party, they must sign the document (Gross, Janis-Aparicio, and LeRoy, 2002). It is important the language within the terms of the CBA is legally strong and binding, as this will allow the coalition to fully commit the developer to any terms within the document. All parties involved must pay close attention to the language in the terms of the CBA, as it can sometimes be the only legal document committing any party to the agreed upon measures.
What Variables Impact the Effectiveness of Community Benefits Agreements?
Obtaining a legally binding agreement from a developer that a planned development will provide the community with benefits such as local hire and contracting programs, affordable housing provisions, and public infrastructure additions or improvements can be an extremely positive outcome of development for many communities, but these are positive only if they actually take place. There are several reasons that agreed-upon benefits might not materialize. These could include lack of funding capabilities, macroeconomic fluctuations, delays in the developments schedule, neighborhood opposition to all or certain aspects of the development, and unreasonable commitments, among other things. Some researchers have suggested that a key issue that may limit the realization of benefits is a lack of proper enforcement, monitoring, and evaluative procedures detailed in the agreement. However, there is limited research on these procedures in relation to how they affect recent development outcomes. Therefore, the purpose of this thesis
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is to contribute to the research on how monitoring and enforcement procedures incorporated into CBAs affect the development outcomes that result after the document goes into effect.
Through carefully detailed research and specific case study of four Community Benefits Agreements, this analysis will attempt to answer the question, how have the monitoring and enforcement aspects of Community Benefits Agreements affected the recent outcomes of the participating development?
Through a review of four CBAs in different regions of the USAtwo from California, one from Colorado and the last from Pennsylvaniathis thesis seeks to identify the possible reasons for the different outcomes in terms of benefits received by the participating communities. I start by examining the similarities and differences among the outcomes, then analyze the terms of monitoring and enforcement within the agreements in order to determine the legal and administrative enforcement and monitoring techniques, including the agreements language, planned procedures, and accountability measures.
Community Benefits Agreements are relatively nascent; the first agreement was signed in 2001 for the L.A. Live Project (Seigel, 2014). As such, this is an area of research containing various unexplored aspects. Many CBAs have only recently been ratified, making it difficult to evaluate their effectiveness given the length of time it requires to develop and provide some of the benefits specified. Further, difficult economic times and other situations can lead to long delays before a development is even started, which in turn may delay implementation of the CBA. To fully understand the effectiveness of CBAs in generating intended outcomes, they
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must be further studied for extended periods of time. The effectiveness and success of a CBA is one which produces the agreed-upon benefits. The purpose of this thesis is to identify common monitoring and enforcement tools that produce the intended results of a CBA.
Why Are Community Benefits Agreements Important for Urban Planning?
Community Benefits Agreements are an important urban planning tool because they can help to secure needed positive outcomes from development for residents of communities where new development may negatively impact them; alternatively, CBAs can enable developers to gain the community support for the project, without which the development may not receive entitlements or necessary approvals for construction. Urban planners need a way to foster new development that not only protects current residents from unfavorable effects but also helps them to realize the advantageous outcomes possible with new development.
Community benefits coalitions are a tool that can help to achieve this goal by working with the public and private sectors to enhance development quality and process. Coalitions provide the surrounding neighborhood a means to not only have a voice but an active seat at the table through which the community becomes one of the decision makers in the development process, forming relationships with developers and (participating) city officials. Through the CBA relationship, City staff including urban planners and public officials will become more familiar with the values of their citizens, and can use this knowledge to incorporate more inclusivity into all planning and development processes.
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CHAPTER II
LITERATURE REVIEW Public versus Private CBAs
The ongoing debate surrounding the strengths and weaknesses of public and private CBAs comprised a large part of the literature I reviewed, because there are formalities regarding the implementation of the two different types. Private CBAs are signed by the developer and the community coalition; the local municipalitys role is typically limited to managing the administration of public funds. Public CBAs also have community coalition support and involvement in negotiating the specific benefits to be included, but public CBAs are signed by the developer and the public entity; the public entity ensures the inclusion of the benefits within the projects development agreement.
Many practitioners and academics debate whether public CBAs should even be considered CBAs, because the community coalition is not accorded any enforcement powers. For example, Baxamusa (2008) argues that CBAs are exclusively private agreements between a developer and a community coalition, used in order to ensure community benefits result from a private development project. Other researchers argue that while there are major differences (especially procedural differences) between public and private CBAs, their main goal, to provide and secure a future for community benefits, ultimately remains the same (Gross, 2007; Beach, 2008). Gross (2007) claims that private CBAs are ultimately better for communities as the CBA coalition is able to enforce many aspects of the agreement. Gross (2007) describes public CBAs as a useful tool with some potential for realizing
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actual benefits, but only if proper administration occurs. This research created an opportunity to develop a solid base of tools to use as measurements for standardization and evaluation of the outcomes resulting from the CBAs that I reviewed as potential case studies for this thesis.
Siegels (2014) research delves into the differences between the public and private CBA models, stating three common reasons private models are the most favorable. These are based around the legitimacy of enforcing public CBAs, which stand against federal labor laws regarding governmental interference guiding the rules surrounding union organizing, unconstitutional exactions, and the fact that community groups negotiating for benefits are not able to enforce them in court (Siegel, 2014). Public CBAs are potentially weaker since beneficiary groups do not sign the document, limiting their ability to enforce the provisions in court or to defend against any possible amendments to the development agreement or other governmental actions that may hinder the provision of the original versions benefits (Siegel, 2014; Been, 2010; Gross, 2007).
Research Surrounding Monitoring and Enforcement of CBAs
Researchers have regarded the monitoring and enforcement elements as one of the most important and crucial aspects of CBAs (Gross et al., 2002). The primary research outlines general monitoring and enforcement best practices, situations and elements to be careful of, as well as issues that require attention while creating an agreement provided a base of monitoring and enforcement provisions to further research and analyze (Gross et al., 2002).
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An article by Beach (2008) outlines the strategies and procedural elements of securing community benefits through the use of government actions, a private agreement, and a settlement agreement. The initial research, which included some references to specific agreements, detailed general information about CBAs, how they are composed, and their function provided a base of knowledge from which to build further case study research and analysis.
In an article detailing the general challenges with monitoring and enforcing a CBA, Been (2010) states that factors including aspirational language and forgotten or unstructured terms within the agreement can hinder its potential for reaching successful outcomes. Gross (2007) also discusses the implications private CBAs have concerning the ability for signatory community groups to monitor and enforce the terms of the agreement, stating that they are the strongest legally binding type of CBA. Camacho (2013) states that public CBAs tend to result with implementation and enforcement roles assigned to the governmental entity. Gross (2007) further differentiates the enforcement capabilities of public CBAs from private CBAs, stating they are usually enforced by a redevelopment entity of the government, and the entitys failure to enforce the provisions of the CBA is a possibility. Gross (2007) explains that complications with enforcing a CBA for local governments exist for many reasons, from budget cuts resulting in short-staffed departments to their assistance being shifted to other projects.
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Case Study Research
Structured, thoughtful case study research is a crucial element for this thesis, guiding what variables to consider and how to analyze the various elements within the data. The differences and similarities between public and private CBAs are important for this study, because they have certain monitoring and enforcement limitations and techniques that may affect their individual outcomes. Using the common differences between the two types of CBA and the measures that are available with regard to monitoring and enforcing the agreements, I began conducting research relating to specific CBAs. My case study research is supplemented with case-specific research, current news articles, and the CBA document for each case study.
A significant amount of case-specific research is available surrounding the CBAs in California, especially in regards to the 2001 L.A. Live CBA. Authors Saito and Truong (2014) along with Marantz (2015) provide in-depth research revolving around the outcomes associated with the L.A. Live project. Saito (2007) began his initial investigation of the agreement with a detailed report describing the CBA process and results.
The research articles by Cain (2014), Lucas-Darby (2012), and Laing (2009) pertaining to Pittsburghs 2008 One Hill CBA provide information related to its process and resulting outcomes, as well as what provisions in the agreement have an effect on its implementation. Further case study research related to the One Hill CBA demonstrates how the CBA model is an important empowerment tool for
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communities, since it brings many of their residents together to form a collective interest surrounding community benefits (Baxamusa 2008; Lucas-Darby 2012).
Case study research compiled by Baxamusa (2008) surrounding San Diegos 2005 Ballpark Village CBA (2005) provides insight as to how the agreements provisions look compared to standard market rate development projects. Baxamusa (2008) relates his case study findings to the power structure of CBAs and how communities can use it to empower themselves, stating a common enforcement practice is to include a committee to implement the agreement. Wolf-Powers (2010) provides in-depth information regarding Denvers 2003 Cherokee-Gates CBA and its formulation. The research that describes the creation process and overview of the Cherokee-Gates and Ballpark Village CBAs also demonstrates how CBAs may become stagnant as a result of issues such as legal complications and stalled development (Salkin & Lavine, 2007; Moore & Nettles, 2010). Recent Ballpark Village news articles depict the current situation for the CBA, which demonstrates possible outcomes after a project has been stalled (Rico, 2015; Showley, 2015).
Using this case-specific research describing the situations and events of past CBAs, along with inspection of their CBA documents, allows me to compare the agreements themselves with the current monitoring and enforcement related research, and how it references the differences between public and private CBAs and their available mechanisms for monitoring and enforcement.
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CHAPTER III
METHODS
Process
Through the review of the current CBA literature I identified the important elements of the agreement model. The monitoring and enforcement processes and procedural elements spurred further investigation regarding the issues, challenges, and strengths of each element. As previously noted, once the issues, challenges, and strengths were identified, I was able to use them to select specific agreements to become my possible further case studies. I identified other agreements that were possible case studies during the investigation of the issues, challenges, and strengths pertaining to the monitoring and enforcement elements found in CBAs.
To narrow down the number of agreements to investigate through case study, I conducted additional research. First, I conducted an assessment of what information regarding each CBA was available and obtainable. Some of the initial agreements had very little to no information, rendering them unusable for this thesis paper. Out of the remaining agreements, I determined that selecting a range of projects based on geographic location across the U.S. was an important factor; this brought the selection to four agreements. The third step was accessing and obtaining copies of the actual agreements. After reviewing all of the specific issues, challenges, and strengths relating to their monitoring and enforcement, I finally selecting four agreements to serve as case studies based on the amount of criteria to be considered.
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As noted, I chose the case studies based on a few different factors.
Geographic location was important for my research, because in order to capture a variety of outcomes, I wanted to include cities which are relatively larger in population (200,000 people or more) while at the same time recognizing many cities are at different stages developmental^. Yin (2013) describes how case studies may use embedded design, multiple layers of analysis within a single study. I began to look at many different characteristics of the data and research I was conducting in order to identify certain patterns and relationships between them. Using the data at different levels to analyze the outcomes of each case study stuck out as an idea, in order to assess their commonalities based on identifiable patterns and relationships. Yin (2013) also explains that it is okay to use qualitative data, quantitative data, or both. I believe that by using both forms of data, I will be able to more cohesively demonstrate relationships based on the analysis of each case studys outcome.
Analysis
Each stage of the literature review was an important component for methodologically identifying and finding the similarities and differences between each agreements monitoring and enforcement processes and procedural elements. Relating the similarities and differences between the issues, challenges, and strengths of each CBAs monitoring and enforcement elements to their specific outcomes relied on having a methodological approach in order to standardize and evaluate the conditions of each agreement. Using the actual agreements, academic research, plus journal and newspaper articles pertaining to each agreement,
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required applying a methodological structure. General research identified overarching themes regarding monitoring and enforcement practices. The actual written agreements provided in-depth information surrounding their stated desired benefits, negotiations, strategies, and procedures. Journal and newspaper articles reviewed various aspects of each CBAs performance, process, and outcomes.
Researchers have regarded the monitoring and enforcement elements as one of the most important aspects of CBAs (Gross et at., 2002) and in order to begin uncovering the reality of each CBA, general research on monitoring and enforcement issues had to take place, with hopes of later identifying similarities when reviewing literature surrounding the four selected case studies. Kathleen Eisenhardt (1989) discusses, along with many other case study research topics, her and others ideas surrounding cross-case comparison research, within-case analysis, how to become familiar with patterns, and what elements or clues to look for. She states first, analyzing the within-case data for each case studys ultimate goal is gaining the knowledge needed to fully understand each case study separately. Doing this can help reduce the conflict between coming to any conclusions based on generalized patterns before the separate or unique patterns are noticed.
The tactics for proper cross-case comparison, according to Eisenhardt (1989), involve reviewing and processing the data in a variety of ways. Her article describes a few different tactics for comparison, one in particular seemed to fit the kind of research I believe needed to be accomplished in order to help the developing constructs arising from the initial research question. Choosing dimensions I noticed
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from my initial question and from the reviewed general research, I used the tactic that Eisenhardt (1989, p. 540) expounds as using the chosen dimensions and searching for any within-group similarities coupled with intergroup differences. Her research linked this tactic to an example of a table used to organize comparison data, an illustrative way to depict cross-case comparison patterns, which I thought could work well to help me understand each case, as well as help to provide possible answers to the thoughts and constructs arising from the initial research question.
The first dimension or element I decided to look at for each individual case study is whether the agreement is public or private. As previously stated, some researchers believe public CBAs do not technically constitute a CBA (Baxamusa, 2008); others argue the opposite, as the main goal of both types ultimately remains the same (Gross, 2007; Beach, 2008). Including both public and private CBAs provides a variety of possibilities to encounter while researching and analyzing the data, processes, and the occurring patterns and/or relationships between their individual outcomes.
I collected data and literature surrounding each case studys initial development proposal for the project in question in order to assess what the development would have been if the CBA was not in place. Baxamusa (2008) complied a table to compare the benefits from a development with a CBA and without a CBA, surrounding the issues related to the environment, employment, affordable housing, plus a miscellaneous category. The table is a helpful tool when collecting inter-case data to be used to further analyze patterns pertaining to CBAs
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and their outcomes. I created the table for each case studys CBA, as it was a helpful tool when comparing cross-case relationships and patterns. I used the table concept to construct my own comparison of the developments chosen as case studies, with the CBA and without the CBA. I examined employment, affordable housing, monitoring and enforcement, as well as other miscellaneous topics pertaining to each agreements CBA.
The quantitative and qualitative data found within each CBA reveals many of the common within-group similarities. The main element, which contains many of these similarities, is the benefits found within each case study. Generally, the benefits contained in CBAs tend to encompass similar interests: affordable housing, employment, specific hiring standards, job training, environmental, along with other community and/or development specific issues are very common elements among many CBAs. The benefits arising from the issues mentioned above will be site specific and the relationships between what was initially proposed versus what the CBA provided for will be compared, provided the data available. Comparing benefits from one CBA to the benefits of another would not make sense, as every city has a different urban fabric. Cities (and even neighborhoods) need different types of development according to how they vary in size, population, industry, etc. therefore every case study site will most likely be different according to the neighborhood and city context.
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MethodologyConclusion
The methodological literature review provided a framework for collecting, reviewing, and using the general research surrounding overarching information about CBAs, how they are composed, and function. Reviewing the research needed in order to understand, familiarize myself with, and be able to further analyze the data it provided helped me with each level of analysis.
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CHAPTER IV
CASE STUDY RESEARCH L.A. Live CBA
Background
The L.A. Live CBA, also called the L.A. Sports and Entertainment District CBA, is known in Los Angles and across the country as the first private CBA of its kind, which serves as an exemplary model for many other CBAs (Saito & Truong, 2015). The development area of the CBA is the Los Angeles Sports and Entertainment District, includes the Staples Center, which is situated along the diverse and bustling Figueroa Corridor. In 2001, a coalition of community groups called the Figueroa Community Coalition for Economic Justice or FCCEJ and the private developer L.A. Arena Land Company and Flower Holdings LLC, which is now called the Anschutz Entertainment Group or AEG (Saito, 2007), signed the CBA.
The Figueroa Community Coalition for Economic Justice or FCCEJ formed the team of people and resourceful organizations needed to undertake the CBA process. The newly formed CBA coalition included five non-building trade unions,
300 residents (Saito & Truong, 2015), along with 29 community groups (Been,
2010). After five months of negotiations with AEG, the FCCEJ signed their support for the projects rezoning and usage of public subsidies in exchange for a Community Benefits Program. The Community Benefits Program includes the CBA and Cooperation Agreement signed by both parties.
The L.A. Live CBA was initiated in response to the 4.2 billion dollar proposal for the Los Angeles Sports and Entertainment District development. The
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development proposal included an entertainment plaza, 7,000 seat theatre, 250,000 square foot expansion to the existing convention center, retail spaces, housing development, and 45 floors of hotel space (Been, 2010). All of these development goals were surrounded by the needed use of eminent domain and more than 150 million dollars in public subsidies (Been, 2010).
The FCCEJ wanted to negotiate the terms of the development proposal, in order to secure viable benefits for the community and its residents. The benefits included into the agreement generally encompassed the creation of public spaces, affordable housing options, and local hiring and wage stipulations. Hoping to gain support for the project, AEG sought help from the Los Angeles County Federation of Labor. The labor federation, in turn, agreed to help the FCCEJ during the CBA negotiation processes. The City of Los Angeles, also encouraged the negotiations, but did not directly help to mediate them (Been, 2010).
CBA Process and the Outcomes
The processes involved with the creation of a CBA are generally during the negotiations and project approval meetings with developers and city officials. However, every project is different, therefore the CBAs tied to any development are not exactly the same for every project. Having a larger sized broad-based coalition can help to relieve future tensions. Broad-based coalitions usually represent many neighborhood interests, due to a widely inclusive democratic process, fostering a clear and representative negotiation process (Saito & Truong, 2015). A heavy reliance on lawyers during the negotiations and document drafting processes is a large disadvantage to many community groups involved with CBAs (Beach, 2008).
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The FCCEJ worked closely with the Legal Aid Foundation of Los Angeles or LAFLA, receiving valuable legal counsel from the local organization during the negotiation and document drafting processes.
The access to many helpful and supportive local community and city organizations helped the processes function fairly and within an appropriate time frame. According to Leland Saito and Jonathan Truong (2015), negotiating with a developer during the approval process is the one time that community organizations have significant leverage. For example, in 2005, the CBAs monitoring committee including members of LAFLA, found the city in noncompliance, in turn prompting a mediation judge ordering the city to comply with its own local hiring and contracting standards (Beach, 2008). As Beach (2008) emphasized in his research on the importance of acquiring monitoring duties for local groups, the FCCEJ benefitted immensely due to the ample support from many different organizations and non-profits across Los Angeles. Having access to many of the local organizations in Los Angeles helped the document drafting process, as its language within terms regarding their own timelines for implementation, as well as who would do those tasks was crucial to the CBAs viability.
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L.A. Live Los Angeles, CA WITH CBA WITHOUT CBA
I. Affordable Housing -At least 20% or 100-160 affordable units, at different AMI increments -30 year affordability term -Developer assists with relocation efforts for displaced residents -Possibly just 500-800 market rate units, unless developer seeks governmental funds -Relocation efforts for current residents may not include the development as an option
II. Employment -Living wage program with goal of 70% of jobs at living wage -Job training provisions with first source hire referral system -Service worker retention and responsible contracting requirements -LA Living Wage Ordinance only policy developer and/or tenants must comply with -LA Worker Retention Policy and the LA Contractor Responsibility Program only guidance for employment practice and processes
III. Monitoring & Enforcement -Coalition Advisory Committee to represent each party with the intent to implement and facilitate ongoing dialogs between parties -First Source Hire program reporting and enforcement requirements -Living Wage policy reporting requirements -Adjustments to affordable units incentive requirement -No representative committee for residents and concerned individuals about the project -First source hiring program monitored and enforced by city -Living Wage policy only guided by the LA City Ordinance, wage not as high as CBAs provision, policy is limiting and monitored by the City
IV. Miscellane- ous -Developer funds parks and rec. space needs assessment up to $75k -$1 million contribution for public park -Assistance with creation of a parking program -Developer may not want to pay municipal fees associated with parks and open spaces, resulting in no public park, maybe only a small private park -Parking program left up to the city to be created on their schedule
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The developer, AEG, agreed to the terms of which 20 percent of the total planned housing units were to be constructed as affordable, while meeting certain Area Median Income (AMI) requirements (Community Benefits Program, 2001). The number of total affordable units completed were, in comparison to their respective AMI requirements, 61 units for incomes up to 60 percent AMI with one percent more than the requirement and 116 units for incomes up to 50 percent AMI with 36 percent more completed than the requirement (Saito & Truong, 2015). A 50 to 75 thousand dollar parks and recreational facilities needs assessment was promised to be funded by AEG, along with one million dollars in funding towards creation of public parks and recreational facilities (Community Benefits Program, 2001). AEG provided full funding for the needs assessment in 2002, provided 500 thousand dollars towards the creation of a new park, and provided 500 thousand dollars towards a YWCA recreation center for the area (Saito & Truong, 2015).
Parking in the area was considered during the negotiations. The residential parking program was agreed to be funded by AEG for five years, paying the permit fees for residents (Community Benefits Program, 2001). AEG funded the program for the full five year term commitment (Saito & Truong, 2015). According to Saito and Truong (2015), AEG, along with another development company and the City of Los Angeles, provided funding and support for a community land trust. The terms within the CBA outlined AEGs responsibilities of ensuring the provision of living wages and funding one hundred thousand dollars to establish a local hiring and job training program (Community Benefits Program, 2001).
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AEG followed through with the terms of the CBA very well, providing 82 thousand dollars to the local hiring and training program, which started in 2003 (Saito & Truong, 2015). Saito and Truong (2015) stated the program had some bumps in the training of non-English speakers, as many of the jobs required personal interaction. Saito and Truong (2015) also discussed the positives of the program, including the low amount of turn-over, the reduction in hiring costs, also stating that the pool of local applicants had a very small failure rate during the background and drug screening process. The two thousand jobs at the Staples Center and L.A. Live pay living wages, 90 percent of the time candidates for the positions being offered are sourced from within the community and in 2007, 338 first sourced applicants were hired, 2009 received over 120 more, and the two Marriott Hotels employ over 50 percent of their workers from the required areas (Saito & Truong, 2015).
Relation to Monitoring and Enforcement
As noted in the Literature Review, the language contained within the CBA, is the language of the document. The language contained in any CBA is legally very important and is crucial for proper incorporation of monitoring and enforcement procedures and stipulations regarding the implementation of the agreements provisions. The L.A. Live CBA contained explicit provisions, outlining the responsibilities for each party. Instead of solely including the responsibilities incurred by the developer, the CBA contained those of the specific parties within the FCCEJ, as well as future tenants of the development.
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The CBAs language contained strong legal terminology and does not use weak wording when regarding the responsibilities of each party. Feel good or aspirational statements such as, terms to be agreed upon at a later date or the developer will put fourth best efforts to. make it hard to concretely specify what the exact provisions will be for any term within the CBA (Been, 2010). The L.A. Live CBAs language did not include aspirational statements. The terms of the CBA contained strong wording and outlined the responsibilities, as to make their implementation realistically enforceable. The parties agreed to specific terms outlining the creation of the Coalition Advisory Committee in order to privately implement and enforce the terms outlined within the CBA (Community Benefits Program, 2001).
As Saito and Truong (2015) summarize the specific language, thorough wording of responsibilities, coupled with a broad-based coalition and abundance of local resources, such as a willing developer and legally supportive organizations led to many of the strong enforcement provisions detailed in the L.A. Live CBA. This led to what many people would describe as a successful CBA. The FCCEJ demonstrated careful tactics when drafting the document, including specifics surrounding practically every term. Term completion timelines; developer compliance standards for not meeting the goal(s) outlined within each term; and specific reporting requirements provided a basis of provisions to be enforced and monitored. Requirements such as language detailing how long affordability is to remain in effect for such units outlined by the CBA and within four years, $800,000 of the one million dollars towards park and recreation spaces (Community Benefits
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Program, 2001) can act as a mechanism for monitoring the progress of development and implementation of the promised benefits, as the term includes a timeline connecting specific funding requirements with the construction schedule.
One Hill CBA
Background
The Hill District in Pittsburgh, Pennsylvania is an area directly outside of the citys downtown. The area is home to many long-time residents, many being African American and/ or low income households (Cain, 2014). After extended periods of economic toil, political neglect, and struggle with urban decline, the Hill District is in a period of transition (Cain, 2014). The area is home to the Mellon Arena (the old arena), an urban renewal redevelopment project which displaced around 8, 000 residents (Cain, 2014).
When the Penguins hockey franchise presented plans for a new arena in 2007, the Consol Energy Center, residents along with the City of Pittsburgh, the Sports Exhibition Authority (SEA), the Urban Redevelopment Authority (URA), Allegheny County, and the hockey franchise negotiated community benefits using a CBA. However, the resulting draft was vaguely worded (Lucas-Darby, 2012). In response to the initial CBA negotiations, the One Hill Coalition (OHC), filed a Notice of Appeal in the Court of Common Pleas of Allegheny County. The OHC filed in opposition of the City Planning Commissions decision to approve the initial proposals for the new arena and redevelopment plans (Hill District Community
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Benefits Agreement, 2008). The Coalitions case was a success and triggered further CBA renegotiations.
The Penguins, in an effort to keep the benefits from the public entities involved, included a parcel public land large enough for a sports complex and a 300 million dollar subsidy to build the arena (Laing, 2009), helped to draft another version of the CBA. The OHC accepted the renegotiated terms of the CBA, which was signed in August of 2008 (Hill District Community Benefits Agreement, 2008). The benefits in the final CBA included many from the original negotiations, but incorporated more legally binding and defined language. The new CBA included terms for: a comprehensive Hill District Master Plan to be funded by the URA; an implementation outline of the Steering Committees responsibilities for implementing each term; a community services reporting and review process to assess the functionality of existing services provided; a neighborhood grocery store and pharmacy funded by 1 million dollars from both the URA and the Penguins; collaboration between the parties to establish a Neighborhood Partnership Program or NPP funded at the maximum tax credit eligible amount by the Pennsylvania Neighborhood Assistance Act; and a community multi-purpose center at the neighborhood YMCA (Hill District Community Benefits Agreement, 2008).
The OHC also negotiated for benefits specific to the new arena. Incorporating benefits relating to the new arena provided many nearby residents with the opportunities needed to further serve their collective interests. The arena specific benefits included: quarterly updates to the public on a variety of subjects related to the arena; updates on pre-bid activities to the OHC; a first source referral center to
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provide training and alerts to local residents about new employment; and small business opportunities for local retailers (Hill District Community Benefits Agreement, 2008).
CBA Process and the Outcomes
The One Hill CBA was heavily negotiated, with the first drafts regarded as weak and too vague (Lucas-Darby, 2012). The OHC, privy to how important the wording of the CBA was in relation to how legally enforceable it could be, fought hard to draft a CBA that could be signed by all parties. The coalition was broad-based, and had the strength and knowledge needed in order to negotiate and compile the CBA (Laing, 2009). Members with these capabilities stemmed from organizations such as Hill District ACORN and the NAACP. The strong partnerships with other community organizations such as the Hill House Association and Pittsburgh-UNITED helped to secure proper outreach to all levels of government establishing representation. The OHC, having been through this kind of grand scale redevelopment before with the first arena, essentially understood how to create a legally binding CBA which formalized community concerns and ensured developer follow through (Cain, 2014).
The CBA has provided the community with: a comprehensive neighborhood master plan; a YMCA community multi-purpose center; fulfillment of the 2 million dollars towards a local grocery store and pharmacy; and a job resource center which has facilitated almost 40 percent local employment in the new arena and its surrounding development (Cain, 2014). Despite the benefits formulated from the agreement, the CBA has also been criticized for missing the opportunity to direct
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One Hill Pittsburgh, PA WITH CBA WITHOUT CBA
l. -Neighborhood Partnership program -No Neighborhood Partnership pro-
Affordable gram
Housing -Community Services Review to do analysis of current conditions -No resource allocation for CSR and Hill District Resource Center
-Hill District Resident Resource Center -No displacement protections for the Hill Districts residents
II. -$1 million from developer and URA -Possible big box retail or no grocery
Employment for neighborhood grocer with local store at all
hire and wage requirements -Arena unaccountable for producing
-Arena to produce quarterly reports public documents relating to pre-bid
for community on possible jobs, busi- activities plus current and future resi-
ness opportunities and pre-bid activities dent opportunities
III. -Coalition will not further pursue a -Coalition will continue to litigate
Monitoring & notice of appeal with a met agree- against the development in court
Enforcement ment -No steering committee to monitor
-Steering committee to create and and implement agreements
enforce an implementation agreement -Non-existent enforcement provisions
-Enforcement mechanisms spelled out in agreement
IV. -$13 million of public subsidy for a -No YMCA community center
Miscellane- Community multi-purpose center
ous through a YMCA partnership -No neighborhood master plan outlining future development guidelines
-Create a comprehensive neighborhood/ small area master plan -$290 million of public subsidy unaccountable to Hill District
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and enforce the future development of the old Mellon Arena site (Lucas-Darby,
2012). The result of this agreement included a lot of funding from the URA and the City of Pittsburgh, but not much from the Penguins themselves (Cain, 2014). Relation to Monitoring and Enforcement
Although the public entities had been a part of this agreement, the monitoring and implementation of the CBA heavily relies on the continual work of the OHC (Liang, 2009). The CBA had many strongly worded and enforceable terms agreed upon, in fact, the document contained an enforcement section outlining the degree of enforcement from each party and penalties resulting from failure to enforce certain provisions (Hill District Community Benefits Agreement, 2008). The One Hill CBA did have some weak wording surrounding provisions for the community multi-purpose center, using aspirational statements such as diligent and good faith efforts to aid the local YMCA to provide a community multi-purpose center (Hill District Community Benefits Agreement, 2008). Cain (2014) claims that the weak provisions surrounding construction employment left local hiring measures out of that section in the CBA. Local non-construction employment measures were overall strong, containing strong wording of the provisions surrounding: funding the first source referral center, operation efforts benefitting the community, and resource center review timelines (Hill District Community Benefits Agreement, 2008).
As previously mentioned, these provisions did not specify local hiring responsibilities for construction employment, but the CBA did include a rather specific term unique to the needs of the Hill District. The term outlining the creation and future use of the comprehensive neighborhood master plan enables the City to
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approve the plan. Many municipalities which make these documents official city plans, tend to adhere to and enforce their provisions in future cases surrounding development projects.
Ballpark Village CBA
Background
San Diegos East Village neighborhood is home to the San Diego Padres and their baseball stadium, Petco Park. It is also home to the Ballpark Village development project, which had a CBA signed between the developers Ballpark Village LLC and Lennar Homes of California Inc. and the 27 groups making up the broad based coalition, A Community Coalition for Responsible Development or ACCORD (Salkin & Lavine, 2008). The agreement was signed on September 20th, 2005 (Community Benefits Agreement, 2005). The initial development did not start with a CBA. During the years preluding the final signing of the CBA, the developer and the local redevelopment agency had been negotiating an agreement behind closed doors up until the time to vote on the developments approval. Right before the vote was announced ACCORD made a last minute effort and secured a CBA for the project which some say created a lengthier development process (Salkin & Lavine, 2008).
Unfortunately, after the signing, the development fell under a lot of controversy and was almost void due to inappropriate financial connections between the head of the redevelopment agency and the developer (Eli Moore & Marvin Nettles, 2010). Due to the improprieties the redevelopment agency head was forced
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to step down and the developer stalled development. The developer eventually sold the land to a different development company, Greystar. The CBA withstood the development delays and benefited from them, as the successor to the land falling under the agreement, Greystar, intends to honor the CBA. In addition, as described below, Greystar has agreed to provide environmental benefits which stretch beyond the original standards in the CBA.
CBA Process and the Outcomes
The Ballpark Village CBA contained a plethora of benefits to the community to be included in the development agreement for the Ballpark Village development project (Baxamusa, 2008), including provisions for: affordable housing, living wages, local hiring, along with many others listed in the table below.
Due to the legal battle over financial ties, along with other concerns, the project stalled before being picked back up in 2015. The San Diego City Council approved the request from the developer to transfer the development rights over to Greystar, another development company (Showley, 2015). In a recent San Diego Union Tribune article, Greystar has agreed to comply with the original CBA (Rico, 2015). The Tribunes report (2015) also stated Greystar had agreed to fund 1.5 million dollars for various employment programs to train and employ local residents, and the construction and permanent jobs created will include living wages. The mixed use development will include 720 total apartment units with 27 of them at affordable rental rates, it will reserve 267 out of 990 parking spaces for the general public during events (Rico, 2015). Greystar is also funding four million dollars towards a pedestrian bridge for the community, and instead of basic LEED
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BALLPARK VILLAGE, SAN DIEGO, CA WITH CBA WITHOUT CBA
1. -209 rental units for all incomes up to -80 condominium units at $76,000
Affordable $38,000 annual income annual income
Housing
-30 condominium units at $76,000 an- -Payment (depending on number of
nual income -$1.5 million of upfront payment to a homeownership program condominium units built) of in-lieu-fees of around $4 million
II. -Living wages, paid leave, healthcare -State minimum wage
Employment included -30% of both construction and service -No contractor prerequisites
jobs to local residents & ex-offenders -No local employment commitments
-Contractors must not have violations -No local resources for residential
with labor laws -Job referral center and construction training program employment services
III. -Legal enforcement and monitoring -Exclusive downtown planning ap-
Monitoring & language approved proval process
Enforcement
-Committee standards and members to -City Council deliberations instead of
enforce and monitor -Implementation committee and responsibilities established and agreed on community based deliberations
IV. -Commitment to $100k to study the -No commitment to further studies to
Miscellane- effects of development on surrounding aid the Planning Agency
ous neighborhoods
-Additional $50k to arts and cultural requirement -Only city requirement (1%) of commercial permit value to be spent on art
-Grocery store (living wage) -No grocery store
-Attempt for LEED certification -No environmental goals, only re-
-Bird friendly reflective glass construction quired standards
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Certification, Greystars development will be LEED Silver, use clean construction practices, and will meet high standards for indoor air quality upon the developments completion (Rico, 2015).
Relation to Monitoring and Enforcement
Although it is unknown exactly what made Greystar want to comply with and honor the original CBA, it is important to note the monitoring and enforcement provisions contained within the CBAs terms, as they may have played a role in keeping the agreement alive through the change in the developer and the head of the Redevelopment Agency. Specifically, within the Enforcement section, the CBA included several provisions detailing remedial measures and what would take place if the land and/ or development was sold to a successor, binding it to the land. The Ballpark Village CBA also contained strong language outlining the role and responsibilities of the Implementation Committee, how it will function, discuss proposed changes or amendments, and monitor progress, including reporting the status of monitoring the agreement upon request by either party (Community Benefits Agreement, 2005).
The CBA (2005) stated it would be effective for 20 years, starting the day it was signed. Bound to the land and having a lifespan of 20 years will help keep the document alive and enforceable. The CBA has a tremendous opportunity to be kept alive, as long as the coalition is in-tact to monitor and work towards the implementation of its goals.
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Gates Cherokee CBA
Background
The Gates Rubber Factory used to operate a large swath of land in Central Denver, which is now adjacent to a RTD light rail station, the 1-25 freeway, and South Broadway Avenue. After years of abandonment and neglect, the area has undertaken efforts to revitalize the now contaminated 50 acre brownfield with new attractive developments. Originally, the project was to be a large market rate condominium and commercial development without specifications for affordable housing, local hires, and other community benefits (Wolf-Powers, 2010). In response, the developer, Cherokee Gates LLC and a broad based coalition of 53 different groups calling itself the Campaign for Responsible Development (CRD), brought together by the Front Range Economic Strategy Center (FRESC), counteracted the proposal to rezone for an eight million square foot mixed use development (Moore & Nettles, 2010). The coalition was successful with their goal of securing a CBA before the city council voted on the rezoning (Moore & Nettles, 2010).
FRESC, the organization which led the CBA also organizes and monitors the implementation of city-wide hiring policies, and was an immense attribute for the coalition. Their contributions enabled the coalition to be connected with and receive additional support from all of the resources FRESC had ties to as well as their help monitoring the implementation of the citys local hiring policies (Wolf-Powers, 2010). Public financing valued at 126 million dollars through a Tax Increment Financing district, set up by the Denver Urban Renewal Authority (DURA), allowed for the CBA
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to be incorporated into DURAs development agreement with the developer. In turn, many responsibilities surrounding the implementation of the agreement have been assigned to the local governmental entities (Wolf-Powers, 2010). DURA was assigned to oversee the provisions regarding local hiring policies, while the City and County of Denvers Housing and Neighborhood Development Division was assigned to oversee the implementation of affordable housing (Wolf-Powers, 2010).
CBA Process and the Outcomes
The benefits outlined within the CBA surrounded local hiring, fair wages, environmental clean-up procedures, and an affordable housing component which was configured with close help and oversight from the city, since the provisions were to be included in the development agreement between DURA and the developer (Wolf-Powers, 2010). As of 2016, in the face of tough economic times, the area has seen only one development, which does comply with some of the CBAs provisions. During the Great Recession, the rest of the project was put on hold and the land was sold back to the original owner (Moore & Nettles, 2010). The project that was completed has 419 market rate units and 60 affordable units available to renters with incomes ranging from 30 50 percent of the local AMI. The developer also allotted 12,000 square feet of ground floor space to local retailers.
The current development project does not meet the original CBA goals. In 2005, the CRD agreed upon the terms to construct 20 percent of all units, for any development on the site, as affordable. The current development, located across the street from the old factory, has 60 out of 479 units set at affordable rental rates which is only 12.5 percent. Since public CBAs are tied into a development
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Cherokee -Gates Denver, CO WITH CBA WITHOUT CBA
I. Affordable Housing -150 affordable for sale units and 200 low-income rental units -Phasing priority on housing -Affordability maintained for 40 years from first certificate of occupancy -Conformance to all ADA laws ensuring all units be accessible -No Affordable Housing Plan -Only cohering to local Inclusionary Housing Ordinance which covers for sale units -No requirement to further maintain affordable unit costs
II. Employment -No big box grocery stores -Prevailing wages for workers in publicly funded construction -Choice of a union construction manager and general contractor -Living wages for public facilities workers -First Source Hiring System -Big box super stores allowed -Construction company and retailers do not have to pay prevailing or living wages -No provisions affecting the choice of union construction manager and general contractor -No First Source Hiring System for local residents
III. Monitoring & Enforcement -Amendments or modifications to agreement cannot be made unless all parties sign -Amendments and modifications made exclusively through developer and governmental entity
-Remedial terms outlined -Agreement terms binding successors to the land -Public entities sole party with the ability to monitor and enforce CBAs fulfillment
IV. Miscellane- ous -Environmental documents made publicly accessible at nearby library -Developer to take part and support the Voluntary Clean-up Advisory Boards efforts during old factory site and neighborhood clean-up sessions -No environmental accountability concerning accessible clean up documents -No engagement from developer to help VCAB clean up processes
agreement, Moore and Nettles (2010) believe the remainder of the affordable housing provisions will likely be negotiated again, if and when a new site plan is
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drafted and/ or proposed. To account for the environmental conditions, the CRD set up a Voluntary Clean-up Advisory Board (VCAB), which continues to implement and monitor the clean-up efforts in the area (Moore & Nettles, 2010).
Relation to Monitoring and Enforcement
The enforcement language outlined in the agreement has been valuable to the coalitions efforts to keep the agreement viable through and since the Great Recession. The Cherokee Gates CBA was written as a public community benefits agreement, signed by the CBA coalition, developer, and the City entities involved with redevelopment (Gross, 2007). The CBAs terms were initially written into a Memorandum of Agreement, which is a useful tool that provides an agreed upon set of terms to be included during later negotiations. Since public CBAs have a governmental role surrounding the implementation of many terms within the agreement, Gross (2007) claims they are often subject to restrictions on governmental actions. In this case, the CBA could be subject to restrictions regarding redevelopment laws due to DURAs involvement, along with actions like the Takings Clause.
The Cherokee Gates CBA (2003) contains enforceable terms: a 20 year lifespan, amendment process, remedies for breaching the agreement, and it details the binding of successors to the land with the CBA. However, due to the heavy involvement from DURA and other governmental entities throughout and after the CBA process, the agreement is not as strong legally. Since the City has an implementation role, it is important to note the CRDs inclusion of the VCAB. This CBA coalition-driven committee will help to provide a continual stream of
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implementation and monitoring support. The VCABs responsibilities and tasks surrounding the CBAs provisions provide the members with active roles, in regards to implementing the CBA.
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CHAPTER IV
CASE STUDY ANALYSIS Within-Case Analysis
In the previous case study overview chapter, each case provides information about standard components of CBAs, as well as the specific outcomes in each case. In this section, I analyze how each cases specific inclusion of elements related to the outcomes, including whether the CBA is public or private, which affects the extent to which certain terms can be monitored and enforced, as well as which parties are legally able to monitor and enforce the agreement. The terms relating to monitoring and enforcement are important because their language constitutes the basis of how each term will proceed following the agreed-upon measures. It also dictates who actually carries out the provisions for each term during the monitoring and enforcement of the agreements implementation. Further analyzing each cases monitoring and enforcement provisions in relation to its recent outcomes demonstrates how each type of provision surrounding each element in a CBA contributes to those outcomes.
In my analysis, I discovered four characteristics that are essential for a CBA to function: unambiguous language throughout the agreement; detailed provisions to establish a local committee with monitoring tasks and enforcement procedures; specific terms regarding the use, funding of, and implementation of city planning tools, such as neighborhood plans; and detailed terms for long-term enforcement measures that will withstand changes in the development team, city ordinances,
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housing market, and the economy. The case studies are examples of how variations in these four key characteristics can affect the outcomes.
Throughout much of the research, it was evident that the actual and potential implementation was affected by the details within the terms and language of the CBA. The research also showed how community groups and other partys roles affect the monitoring and enforcing aspects surrounding the implementation of the CBA.
L.A. Live Case Study
From an outsiders perspective, the L.A. Live case study has had extraordinary outcomes for the community, since most of the benefits dictated by the agreement were actually provided by the development. Through this research, I discovered only a few of the terms lacked key language that affected the terms enforceability. The CBAs language outlining the cost per unit for any offsite affordable units was too ambiguous, which allowed the City to renegotiate these terms with the developer, and as a result the per unit cost agreed upon with the developer was unrealistically low (Marantz, 2015). If the CBA had had stronger language spelling out the necessary cost per unit and possibly included a fixed rate to account for inflation, the city would have had a standard to enforce. By ensuring strong language surrounding every term and their unforeseeable futures, CBAs can save cities the time, effort and money surrounding further renegotiations.
My findings suggest that having a dedicated coalition that ensures the CBA includes a term outlining the creation of an Implementation or Monitoring Committee along with identifying its responsibilities, performing tasks related to monitoring and
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enforcing implementation is important for obtaining direct enforcement power. The L.A. Live CBA outlined the responsibilities of the Monitoring Committee, which included legal aid members, and although the task was time-consuming and costly, the committee effectively monitored the Citys compliance with local hiring and wage policies. CBAs with this kind of committee, which carries out the tasks related to monitoring and reporting certain aspects of the agreement itself, is crucial to the enforceability, as it is privately done and for that reason, not subject to constraints on local governmental actions.
The CBA contained job and wage reporting requirements, as well as timeline and phasing requirements in more than one term. These provisions helped the CBA by creating a set of standards able to be monitored and enforced by the party responsible for overseeing its implementation. The CBA included a term binding any successors to the land and contained strong legal language. This provision proves to be an important enforcement term of the CBA, since it requires future owners to carry out and fulfill the previously agreed upon benefits.
One Hill Case Study
The One Hill case study provided an unexpected finding regarding how a city planning tool can help to secure a different approach to the future monitoring and enforcement of various community benefits. The OHC included a term within the CBA outlining provisions for the rather prompt creation and adoption of a city council-approved comprehensive neighborhood master plan. Incorporating this term in the CBA and including specific language enabled the OHC to have direct input while creating the plan. Including a term outlining the creation of a neighborhood
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plan will extend planning resources to development outside of the area covered within the CBA. This strategy allows community benefits to be implicated in a city council approved document, which acts as a visionary tool that guides future development. Neighborhood plans are monitored and enforced through the city planning process and many cities hold their rules to new development during the proposal and approval stages.
The One Hill Coalitions use of their CBA to help aid and fund that planning process, essentially guiding the communitys vision of how they would like future development to be, was also a potential investment in the neighborhood coalitions future. This is a potential investment, since it depends on how inclusive the neighborhood planning process is and how strongly the city enforces such documents. The CBA was laden with terms relating to enforceability of the agreement and what to do if certain terms are not met in the future, which were thoughtfully compiled into one Enforceability section (Hill District Community Benefits Agreement, 2008). The broad-based coalition, equipped with legal and other local resources, made sure to include language relating to their monitoring responsibilities, even though the City of Pittsburgh and Allegheny County also had a role.
Ballpark Village Case Study
The Ballpark Village case study demonstrated the issue of what could affect the possible outcomes, including if there is ever a legal battle between negotiating parties having ties to the CBA, as there happened to be in this case. The discoveries made from this research suggest the terms within the CBA contained language that
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strongly upheld its enforceability despite a delay in the development that stalled the provision of benefits. Including terms surrounding the CBAs future applicability is necessary, as it will help reinforce the agreements terms if for any reason development becomes stalled and later picks back up.
The Ballpark Village case demonstrated a scenario where development came to a halt, arising from legal tensions. The terms within the CBA, binding it to the land, arbitration measures, and a specified life span aided the implementation of the CBAs terms after the delay. The above terms help apply many future enforceability standards to the CBA. For example, although the current satisfaction of the agreement from the recent development surrounding the amount of affordable units is mediocre, the CBA is still able to be enforced, monitored, and reported on by the dedicated Implementation Committee. Applying the previously mentioned terms that account for the unpredictable future, along with continual support from ACCORDS member organizations, kept the CBA alive after the stalled development. Recently, the Implementation Committee has been able to uphold and is beginning to reinforce the applicability of the CBA. Provisions to fulfill benefits, such as the affordable housing requirement and LEED certification status, are currently underway for current development.
Cherokee Gates Case Study
The same fate could be in the future for the Cherokee Gates CBA. My research suggests the findings for this case study, as a result from their incorporation of various enforcement and monitoring mechanisms, are important in relation to what could happen to this CBA in the event of a subsequent economic
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downturn or another similar scenario that stalls the development. The CBA was a public CBA and as a result, it was included in a development agreement between the developer and the City and County of Denver. What made this public CBA stand out was that before the development agreement was approved, the Campaign for Responsible Development and the developer signed a Memorandum of Agreement or MOA. The application of a MOA gave the Campaign a means to establish many of the terms privately outside of the development agreement. This strategy is useful because it can help to protect the CBA from possible changes made to content within the development agreement that would adversely affect the provision of the CBAs benefits.
My research suggests that including a term in a public CBA that outlines a dedicated team made up of local groups and committee members to monitor the implementation of a specific term, is very beneficial to its outcome. The Cherokee -Gates CBA contained provisions for the Voluntary Clean-up Action Board or VCAB to be directly associated with brownfield clean-up efforts, as well as reporting on the status of their work in relation to the project. By adding this term, the CBA creates private enforcement capabilities. Equipping the VCAB with monitoring and reporting responsibilities enables them to hold the other parties accountable to their end of the agreement. Public CBAs should incorporate some form of a private enforcement strategy. Doing so allowed the Campaign to not have to rely solely on other entities to provide benefits, while still being able to monitor the progress of their fulfillment, and hold another party accountable if the benefits are not provided.
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Public or private Uses a city planning tool Supported by local resources Other legal enforcement document
L.A. Live Private No Yes; LAANE, SAJE, ACORN Yes; Cooperation Agreement
One Hill Private Yes; Section 1.1 defines its authority Yes; Hill House Assoc., ACORN No
Ballpark Village Private No Yes; ACORN, CPI No
Cherokee Gates Public No Yes; FRESC, ACORN Yes; Memorandum of Agreement
Cross-Case Comparison
Comparing the results of the analysis of each case to the others allows for the research to be used as relational evidence. As the Cherokee Gates development has not reached a definite consensus as to how the CBA will be incorporated into any future redevelopment, it is important to compare the recent outcomes from each case to the future applicability of this CBA. The cross-case comparison between all of the cases presented above will provide an analysis of their outcomes, presenting the differences and similarities between some of their characteristics and commonalities related to CBAs.
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Term outlining creation of a Committee Term binding CBA to land Term for breach of CBA Term for amending CBA Term with CBAs longevity
L.A. Live Yes; Coalition Advisory Committee Yes; Agreement 19. Yes; Agreement 16. Yes; Agreement 25. Yes; Agreement 2. states 110yrs.
One Hill Yes; Steering Committee Yes; Section IX D. Yes; Section VIII D. No Yes; General Term E. states 20yrs.
Ballpark Village Yes; Implementation Committee Yes; 9.3 Yes; 9.5 Yes; 9.15 Yes; 9.6 states 20yrs.
Cherokee Gates Yes; VCAB Yes; Agreement G. Yes; Agreement F. Yes; Agreement E. Yes; Agreement C. states 20yrs.
Public versus Private
The L.A. Live, One Hill, and Ballpark Village case studies are all private CBAs. However, compared to the other CBAs, the Cherokee Gates CBA is considered a public agreement, which is set into a development agreement. As Beach (2008) points out in his research, public agreements do not ensure that terms will not be modified in the future, which can be devastating to a coalitions campaign for equitable community benefits. The Cherokee Gates CBA contained a MOA that acted as a precursory private agreement for the CBA terms to be negotiated upon presentation of a development proposal. This useful tool solidified the initial terms and prevented them from being modified or amended by the public entities and/ or the developer in the future without consent from all parties. The L.A. Live CBA also
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included a precursory agreement called a cooperation agreement. In the case of L.A. Live, the cooperation agreement acted as more of a legally defining document, spelling out how the CBA process will function. As previously noted, public agreements can be harder to enforce, but the use of a precursory agreement helps to provide a means for what I would call a private-public CBA.
My findings suggest the importance of including strong language outlining provisions and responsibilities for committees created by the CBA coalition. Having a committee with members from the coalition aids the documents ability to apply private enforcement measures through creation of monitoring responsibilities. The Cherokee Gates CBA applied enforcement power surrounding the monitoring and aiding the implementation of environmental clean-up procedures to the VCAB, which was a member-based committee. The other case studies applied thorough implementation monitoring procedures to a CBA coalition member-based committee. This provides a powerful means for more hands-on community engagement, giving the committee enforcement power, rather than relying on the city, by creating a specialized monitoring process (Beach, 2008, p. 104). By including terms outlining the responsibilities to be undertaken by a CBA coalition member-based committee creates a continual role for members to engage, allows for direct action to be taken if any terms are breached, and can help to facilitate any necessary further dialogue between parties.
Knowledgeable Local Resources and Continual Support
My case study research also demonstrates the need for and importance of establishing a supported, broad-based, and dedicated coalition. The Cherokee -
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Gates CBA, for example, allowed FRESC to aid with the monitoring and reporting aspects surrounding the local hiring provisions. Each of the four case studies CBAs included affiliated organizations as members and signatories of the CBA, giving these well-versed organizations the legal right to monitor and assist with the documents implementation. All of the case studies CBA coalitions had access to highly resourceful local non-profits and organizations. The support from organizations that have the knowledge and capacity to help CBA coalitions realize their goals can help to aid the progress of performing time-consuming tasks surrounding monitoring and implementing a CBAs provisions. Since many of these affiliated organizations specialize in their own specific field of service, many of them will have a time-efficient model of professional practice. The expertise of skilled organizations is also valuable when they are able to monitor specific terms such as local hiring or living wage programs.
After a CBA is signed, the dispersal of coalition members or affiliated knowledgeable organizations can leave those left behind with the immense burden of administering and implementing the terms and responsibilities of the agreement with no support. The dedication of local organizations is important for the long-time utilization of their knowledge and capabilities. Dedicated outside organizations are sometimes a necessary means in order to monitor and enforce the policies of possible local publicly administered programs that may operate a provision related to the CBA. These organizations often provide the capacity to perform much needed administrative tasks, which can help to take some of the heavy work load away from the CBAs coalition or committee. The need for dedicated coalition members and
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affiliated organizations is crucial to maintaining the enforceability, life, and inclusiveness of a CBA.
Other Monitoring and Enforcement Opportunities
Finally, all of the case studies CBAs contained specific terms that, using no aspirational or ambiguous terms, outlined the longevity of the entire document, many having at least 20-year lifespans. The strong wording surrounding the binding nature of the document to successors of the land provided grounds for future enforcement of the terms within the CBAs. The CBAs were very careful to include many of the previously mentioned terms regarding future enforceability. All of the case studies CBAs contained measures binding future successors of the land to the document, creating a coalition member-based committee, and outlining what was to occur if a term was ever breached.
The most compelling finding from this category was the One Hill CBAs use of a comprehensive neighborhood master plan. The One Hill CBA was the only case study to incorporate a term that outlines the creation of a city council- approved plan that will be extremely beneficial for the future enforcement of the communitys common interests. Neighborhood plans are used to document the vision of what the areas residents would like to see guiding future development. Many cities use them when reviewing development proposals and plans, checking to make sure they fit with the visions set out by city-wide plans and (if present) the concurrent neighborhood plan. The One Hill CBA was the only case study to include a provision such as this tool.
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CHAPTER V
CONCLUSION AND RECOMMENDATIONS
Analyzing the results from my research leads me to the conclusion that the terms and language regarding monitoring and enforcing of a Community Benefits Agreement are crucial to having a legally binding and enforceable document. I have found that long-term dedicated coalitions, along with access to knowledgeable outside non-profits and organizations are crucial for providing continual administrative and legal support with CBA efforts. My research has led me to uncover the specific terms, including those that detail provisions regarding a breach of the agreement, the binding of other terms to successors of the land, and the specific longevity of the CBA, which are all important factors needed to enforce the agreement in the unpredictable future.
This research has led me to the verdict that the life and enforcement of the CBAs implementation relies on a dedicated coalition willing to fight for the survival of the terms within the agreement. Coalitions are especially important when taking on monitoring and/ or enforcement duties because they are well-versed and are capable of holding the agreeing parties accountable to their respective duties.
However, my research also demonstrates some of the complications with tracking and assessing CBAs, as they are living agreements, revolving around so many different circumstances, and can change over time. CBAs are still a relatively new idea and available research is limited, as the agreements are carried out over long periods of time and therefore may be hard to follow.
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The research I have provided can be enhanced with follow-up research connected with the possible outcomes of the coalition outside of the CBA. The formation of these coalitions, and the power and effectiveness they gained during the CBA negotiation process, can lead to further positive outcomes and empowerment for the coalition, as well as its individual member groups. Providing further research surrounding topics such as the coalitions funding structure and member organizations track records is important, as many coalitions contain members or are organized by local organizations. Having dedicated continual support from local organizations helps the CBA coalition by providing skilled personnel to head the otherwise time-consuming and perhaps specialized tasks of monitoring the implementation progress of the CBA. These organizations must possess the skills necessary to monitor and enforce aspects of any possible City policies regarding living wages and local hiring. Furthermore, the long-term dedication of skilled local organizations is needed in order to keep many CBAs alive, as they provide the continual assistance the agreements need. Further, research should be done to identify strategies surrounding how to keep the coalition together and what possible incentives could be utilized in doing so, since they are essentially the backbone to a CBA.
Additional research regarding the outcomes resulting from the Hill Districts comprehensive neighborhood master plan can provide insight as to how the outcomes stemming from that term have affected the community over the long term. In-depth interviews with community members and City officials could provide further understanding of the specific details regarding how the monitoring and enforcement
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provisions within this CBA has enabled it to have a long-term, comprehensive impact on the community, far beyond the presence of the specific development that spurred the initial creation of the community coalition. Additional research surrounding the use of One Hills comprehensive neighborhood master plan will aid future CBAs. As municipalities use city planning tools differently, it is important not to assume that the presence of a neighborhood plan will guide every future development decision made by the city council.
Additional research surrounding the public and private aspects of CBAs related to their intended and unintended outcomes will help to close the gap between the two types. As previously mentioned, many private CBAs include involvement of a public entity in some way. Whether the involvement is to implement an aspect of the agreement or provide further assistance to maintain infrastructure realized as a result of the CBA, public entities are not absent from the private CBA model. Developer-funded infrastructure such as a public parking permit program or a public park usually have further maintenance requirements that often must be undertaken and overseen by a public entity. Further, many CBAs involve quasi-governmental entities, such as those surrounding sports stadiums like Pittsburghs SEA; because these organizations include both public and private aspects, they add an important dimension to the study of CBAs.
Public entities often provide millions of dollars to developers of major projects, and they have a vested interest in ensuring that the benefits outlined in the CBA come to fruition in their communities. In addition, public entities must respond if communities are damaged by development projects. Therefore CBAs by definition
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should be signed by the developer, the community coalition, and the public entity, since they all have a role to play in the implementation and continual maintenance of the benefits provided that shape the urban fabric. An effective and successful CBA is one that produces the agreed-upon benefits. A CBA that is a mix of public and private will offer the monitoring and enforcement tools that best produce the CBAs intended results.
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REFERENCES
Ballpark Village Project Community Benefits Agreement. (2005.) Attachment A G.
Baxamusa, M. H. (2008). Empowering communities through deliberation the model of community benefits agreements. Journal of Planning Education and Research, 27(3), 261-276.
Beach, B. S. (2007). Strategies and lessons from the Los Angeles community benefits experience. Journal of Affordable Housing & Community Development Law, 77-112.
Been, V. (2010). Community Benefits Agreements: A New Local Government Tool or Another Variation on the Exactions Theme?. The University of Chicago Law Review, 5-35.
Cain, C. (2014, December). Negotiating With the Growth Machine: Community Benefits Agreements and ValuenConscious Growth. Sociological Forum, 29(4), 937-958.
Camacho, A. E. (2013). Community Benefits Agreements: A Symptom, Not the Antidote, of Bilateral Land Use Regulation. Brooklyn Law Review, 78(2).
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Cherokee Gates CBA Memorandum of Agreement. (2003.) Recitals and Agreement.
Community Benefits Program. (2001.) Attachment A.
Eisenhardt, K. (1989) Building Theories from Case Study Research. Academy of Management Review, 14, 532-550.
Gross, J., LeRoy, G., & Janis-Aparicio, M. (2002). Community benefits agreements: Making development projects accountable. Good Jobs First.
Gross, J. (2007). Community benefits agreements: Definitions, values, and legal enforceability. Journal of Affordable Housing & Community Development Law, 35-58.
Laing, B. Y. (2009). Organizing community and labor coalitions for community benefits agreements in African American communities: ensuring successful partnerships. Journal of Community Practice, 17(1-2), 120-139.
Lucas-Darby, E. T. (2012). Community benefits agreements: a case study in addressing environmental and economic injustices. The Journal of African American History, 97(1-2), 92-109.
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Hill District Community Benefits Agreement. (2008.) Execution Copy.
Marantz, N. J. (2015). What Do Community Benefits Agreements Deliver? Evidence from Los Angeles. Journal of the American Planning Association, 81(A), 251-267.
Moore, E., & Nettles, M. (2010, October). Advancing Community Health Through Community Benefits Agreements: Four Case Studies and Lessons for the Redevelopment of the Oakland Army Base. Pacific Institute for Studies in Development, Environment & Security.
Rico, C. (2015). New city program makes way for Ballpark Village near Petco. San Diego Daily Transcript. Retrieved from:
http://www.sddt.com/Reports/article. cfm?RID=1108&SourceCode=20150514cra&_t= New+city+program+makes+way+for+Ballpark+Village+near+Petco#Article
Saito, L., & Truong, J. (2014). The LA Live community benefits agreement: Evaluating the agreement results and shifting political power in the city. Urban Affairs Review, 1078087414527064.
Saito, L. (2007). Economic redevelopment and the community benefits program: A case study of the LA Live Project, a Los Angeles sports and entertainment district (No. 8553).
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Salkin, P. E., & Lavine, A. (2007). Negotiating for social justice and the promise of community benefits agreements: Case studies of current and developing agreements. Journal of Affordable Housing & Community Development Law, 113-144.
Seigel, S. M. (2014). Community Benefits Agreements in a Union City: How the Structure of CBAs May Result in Inefficient, Unfair Land Use Decisions. The Urban Lawyer, 46(3), 419.
Showley, R. (2015). Ballpark Village: Downtowns next big thing. San Diego Union-Tribune. Retrieved from:
http://www.sandiegouniontribune.com/news/2015/apr/17/ballpark-village-jmi-
greystar-downtown/
Wolf-Powers, L. (2010). Community benefits agreements and local government: A review of recent evidence. Journal of the American Planning Association, 76(2), 141-159.
Yin, R. K. (2013). Case study research: Design and methods. Sage publications.
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